A groundbreaking ceremony was held for Olga Village, a 37-unit development for low-income seniors on Milwaukee’s south side.

Gov. Jim Doyle announced a combination of low-income housing tax credits (LIHTCs) and funding totaling more than $8 million for the development.

“Affordable housing is important to providing a good quality of life for people in Wisconsin, but it is also integral to a healthy economy,” he said.

The project marks Wisconsin’s first use of federal Recovery Act funds for public housing, said officials.

 Scheduled to be completed in 2010, Olga Village is being built on the campus of the United Community Center, a nonprofit organization that provides programs for Milwaukee’s Latino community. The three-story development will be next to an existing 20-unit development for low-income seniors.

Funding includes $2.2 million in American Recovery and Reinvestment Act funds administered by the Milwaukee Housing Authority and $5.9 million in LIHTCs from the Wisconsin Housing and Economic Development Authority.